Sign up to receive free updates from TUI AG:
We’ll send you a daily email digest, myFT Daily Digest, with the latest news from TUI AG every morning.
TUI, a tour operator, anticipates that the warming climate will result in more people taking holidays during the cooler months and selecting northern destinations like Belgium following the scorching heatwave and wildfires in southern Europe. Sebastian Ebel, the CEO, predicts an increase in demand for spring and autumn vacations, with a focus on new trips to northern European countries such as the Nordic countries, the Netherlands, and Belgium. TUI is already planning to offer trips to Greece until mid-November, and bookings for the autumn months have been exceptionally strong.
Ebel also expects traditional summer holiday destinations in southern Europe to remain popular, stating that it presents more growth opportunities rather than being a threat to the business around the Mediterranean. TUI reported strong demand for travel, indicating a promising summer despite the wildfires and evacuation incidents in late July.
In July, southern Europe experienced extreme heat, leading to the closure of tourist attractions such as the Parthenon in Athens and causing wildfires that disrupted holidays and forced evacuations. Europe’s weather forecasting agency has warned that the region should be prepared for longer and more intense periods of high temperatures. However, holiday companies like easyJet have reported little impact from the heatwave, as there is a boom in demand for leisure travel.
TUI, despite the wildfires and the evacuation of 8,000 guests from the Greek island of Rhodes, expects a strong summer season, with bookings and prices increasing. The fires did have a temporary impact on bookings, but the situation has now normalized. TUI achieved its first profitable early summer quarter since the pandemic, recording earnings before interest and tax of €169.4mn in the three months ending June, compared to a loss of €27mn in the same period last year. Revenues were €5.3bn, a twenty percent increase year on year. Bookings for the summer season were up 6 percent compared to the previous year, with prices up 7 percent. Ebel expressed confidence in the future bookings despite the weak economy.
Denial of responsibility! VigourTimes is an automatic aggregator of Global media. In each content, the hyperlink to the primary source is specified. All trademarks belong to their rightful owners, and all materials to their authors. For any complaint, please reach us at – [email protected]. We will take necessary action within 24 hours.
